Swiss semiconductor company Kandou AI has established its India chip design headquarters in Hyderabad, strengthening its presence in one of the country's fastest growing semiconductor and artificial intelligence ecosystems. The expansion reflects the company's plans to accelerate the development of high performance AI interconnect technologies while tapping into India's engineering talent pool.
The new facility will serve as Kandou AI's primary chip design and engineering centre in India. The company said the Hyderabad hub will focus on developing advanced semiconductor technologies that support artificial intelligence workloads, high speed connectivity and data centre infrastructure. The move also aligns with India's broader ambition to become a global hub for semiconductor design and electronics manufacturing.
Kandou AI specialises in high speed chip to chip connectivity and interconnect solutions that enable faster communication between processors, memory and networking components. As AI models become larger and more computationally intensive, efficient data movement has emerged as one of the industry's biggest technical challenges. Kandou AI's technologies are designed to improve bandwidth, reduce power consumption and increase performance across AI computing environments.
According to the company, Hyderabad was selected because of its strong semiconductor ecosystem, availability of specialised engineering talent and supportive innovation environment. The city has increasingly attracted global semiconductor companies establishing research, development and chip design operations as demand for AI infrastructure continues to grow.
The company plans to recruit engineers across chip architecture, integrated circuit design, verification, software development and systems engineering. The facility is expected to contribute to the development of next generation semiconductor technologies that support AI data centres, cloud infrastructure and enterprise computing platforms.
Kandou AI said the Hyderabad centre will collaborate closely with its global engineering teams while contributing to the design of products for international markets. The investment reflects a wider trend of semiconductor companies expanding research and development activities in India as the country strengthens its position in the global electronics value chain.
The expansion comes at a time when governments and technology companies worldwide are increasing investments in semiconductor capabilities to support the rapid adoption of artificial intelligence. AI applications require significantly greater computing power than conventional software, driving demand for advanced chips, high speed interconnects and specialised hardware infrastructure.
India has also intensified efforts to attract semiconductor investments through policy initiatives aimed at boosting chip design, manufacturing and research. Several multinational technology companies have announced engineering centres and semiconductor projects across Hyderabad, Bengaluru, Noida and Chennai over the past two years, reinforcing the country's growing role in the global semiconductor industry.
Industry analysts note that while graphics processors and AI accelerators receive significant attention, interconnect technology has become equally important for scaling AI infrastructure. As enterprises deploy increasingly complex AI models, efficient communication between computing components plays a critical role in improving system performance, energy efficiency and operational costs.
Kandou AI's expansion into Hyderabad highlights the increasing importance of India's engineering ecosystem in supporting global semiconductor innovation. The company believes access to skilled talent and a growing technology ecosystem will help accelerate product development while supporting long term growth in AI infrastructure markets.
The investment also reflects the broader convergence of artificial intelligence and semiconductor innovation, where advances in chip architecture, connectivity and systems design are becoming essential to enabling next generation AI applications. As demand for AI computing continues to increase, companies are expected to expand research and engineering capabilities in regions that offer deep technical expertise and supportive innovation ecosystems.
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